TKO Group raises 2026 revenue target to $5.79B–$5.83B
TKO now targets $5.790 billion to $5.830 billion in 2026 revenue and $2.295 billion to $2.315 billion in Adjusted EBITDA.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Filing Summary
TKO Group Holdings, Inc. reported third-quarter 2026 revenue of $1.360 billion, up 21%, or $240.2 million, from a year earlier. Net income was $277.9 million, compared with $106.8 million, and Adjusted EBITDA, a non-GAAP measure, was $555.7 million, up 54%. Cash flow from operating activities was $472.1 million, an increase of $55.3 million.
UFC revenue rose to $519.2 million and IMG revenue to $391.3 million, while WWE revenue decreased $2.8 million to $399.3 million. TKO raised its 2026 revenue target to $5.790 billion to $5.830 billion and Adjusted EBITDA target to $2.295 billion to $2.315 billion. The outlook assumes all live events, including those in the Middle East region, take place as currently planned.
TKO intends to repurchase the balance of its existing authorization of up to $3 billion; approximately $936.0 million remained available as of November 4, 2026. It expects to fund these repurchases primarily with additional debt and cash on hand. Year to date, TKO returned in excess of $1.6 billion through share repurchases, dividend payments and related distributions.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointRevenue rose 21% to $1.360 billion year over year.
- Moderate pointNet income increased $171.1 million year over year to $277.9 million.
- Moderate pointAdjusted EBITDA rose 54% to $555.7 million year over year.
Negative
- None.
Filing Explained
TKO’s August 6 Rule 10b5-1 plan covered repurchases of up to
8-K Event Classification
Key Figures
Key Terms
Adjusted EBITDA financial
Free Cash Flow Conversion financial
net leverage financial
Earnings Snapshot
Full-year 2026 revenue of $5.790 billion to $5.830 billion and Adjusted EBITDA of $2.295 billion to $2.315 billion; anticipated performance assumes all live events, including those in the Middle East region, are staged as currently planned.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were TKO's third-quarter 2026 revenue and earnings?
What is TKO's 2026 financial guidance?
How much stock does TKO plan to repurchase?
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): |
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(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On November 4, 2026, TKO Group Holdings, Inc. (the “Company”) announced its financial results for the quarterly period ended September 30, 2026. In addition, the Company provided supplemental financial information based on the historical information of the Company for the fiscal years ended December 31, 2023, 2024, and 2025 to retrospectively reflect the acquisition of Professional Bull Riders, On Location, and certain businesses operating under the IMG brand as a merger of entities under common control for the applicable historical periods (collectively, the “Supplemental Financial Information”). The full text of the press release and the Supplemental Financial Information is furnished as Exhibit 99.1 and 99.2, respectively, to this Current Report on Form 8-K and incorporated herein by reference.
The information in this Current Report on Form 8-K (including Exhibits 99.1 and 99.2 hereto) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
Exhibit No. |
Description |
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99.1 |
Press Release, dated November 4, 2026. |
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99.2 |
Supplemental Historical Financial Information, dated November 4, 2026. |
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104 |
Cover Page Interactive Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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TKO GROUP HOLDINGS, INC. |
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Date: |
November 4, 2026 |
By: |
/s/ Andrew Schleimer |
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Name: Title: |
Andrew Schleimer |
Exhibit 99.1
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FOR IMMEDIATE RELEASE |
Contacts: |
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Investors: |
Seth Zaslow szaslow@tkogrp.com |
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Media: |
press@tkogrp.com |
TKO Reports Third Quarter 2026 Results
Raises Full Year 2026 Guidance
Announces Intent to Commence Additional Share Repurchases
Third Quarter 2026 Financial Highlights
Full Year 2026 Guidance
New York, NY, November 4, 2026 – TKO Group Holdings, Inc. (“TKO” or the “Company”) (NYSE: TKO) today announced financial results for its third quarter ended September 30, 2026.
“Our third quarter performance reflects the secular tailwinds powering live events and experiences around the world, and TKO’s assets sit front and center of that premium ecosystem,” said Mark Shapiro, President and COO of TKO. “As we close out what we’ve called our year of execution, our decision to raise full-year guidance for the second time this year is the clearest expression of our conviction across the entire portfolio. Our business is durable and our fundamentals are solid, with the vast majority of our existing revenues locked in for the next five to seven years. Macro trends are firmly in our favor, every facet of sports consumption is pointing north, and we see substantial runway ahead.”
Consolidated Results2
Third Quarter 2026
Revenue increased 21%, or $240.2 million, to $1.360 billion. The increase primarily reflected an increase of $194.0 million at UFC, to $519.2 million, a decrease of $2.8 million at WWE, to $399.3 million, and an increase of $54.6 million at the IMG segment, to $391.3 million.
Net Income was $277.9 million, an increase of $171.1 million from $106.8 million in the prior year period. The improvement reflected the increase in revenue partially offset by an increase in operating
expenses. The increase in operating expenses primarily reflected an increase in direct operating costs of $49.3 million and an increase in selling, general and administrative expenses of $21.4 million, partially offset by a decrease in depreciation and amortization of $36.1 million.
Adjusted EBITDA1 increased 54%, or $195.5 million, to $555.7 million, due primarily to an increase of $119.7 million at UFC, to $285.3 million, an increase of $9.4 million at WWE, to $217.2 million, and an increase of $54.5 million at the IMG segment, to $115.9 million.
Adjusted EBITDA margin increased to 41% from 32%.
Cash flows generated by operating activities were $472.1 million, an increase of $55.3 million from $416.8 million, primarily due to the improved operating performance and the timing of working capital.
Free Cash Flow3 was $449.9 million, an increase of $51.0 million from $398.9 million, due to the increase in cash flows generated by operating activities, partially offset by an increase in capital expenditures.
Cash and cash equivalents were $630.9 million as of September 30, 2026. Gross debt was $4.647 billion as of September 30, 2026.
Results by Operating Segment4
The table below reflects TKO’s performance by operating segment:
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Revenue: |
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UFC |
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$ |
519.2 |
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$ |
325.2 |
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$ |
1,456.1 |
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$ |
1,100.8 |
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WWE |
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399.3 |
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402.1 |
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1,495.9 |
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1,349.8 |
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IMG |
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391.3 |
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336.7 |
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1,401.4 |
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1,119.6 |
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Total revenue from reportable segments |
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1,309.8 |
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1,064.0 |
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4,353.4 |
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3,570.2 |
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Corporate and Other |
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61.3 |
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63.3 |
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183.7 |
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162.3 |
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Eliminations |
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(11.0 |
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(7.4 |
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(33.0 |
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(35.4 |
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Total Revenue |
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$ |
1,360.1 |
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$ |
1,119.9 |
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$ |
4,504.1 |
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$ |
3,697.1 |
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Adjusted EBITDA: |
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UFC |
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$ |
285.3 |
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$ |
165.6 |
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$ |
820.2 |
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$ |
637.8 |
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WWE |
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217.2 |
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207.8 |
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841.6 |
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731.5 |
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IMG |
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115.9 |
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61.4 |
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291.8 |
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163.9 |
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Total Adjusted EBITDA from reportable segments |
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618.4 |
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434.8 |
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1,953.6 |
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1,533.2 |
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Corporate and Other |
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(62.7 |
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(74.6 |
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(198.2 |
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(229.1 |
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Total Adjusted EBITDA |
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$ |
555.7 |
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$ |
360.2 |
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$ |
1,755.4 |
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$ |
1,304.1 |
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2
UFC
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Three Months Ended |
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(in millions) |
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September 30, |
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September 30, |
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2025 |
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UFC Revenue: |
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Media rights, production and content |
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$ |
332.8 |
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$ |
200.5 |
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$ |
933.3 |
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$ |
685.1 |
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Live events and hospitality |
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79.6 |
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43.6 |
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175.9 |
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160.7 |
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Partnerships and marketing |
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91.3 |
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70.8 |
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303.2 |
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220.9 |
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Consumer products licensing and other |
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15.5 |
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10.3 |
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43.7 |
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34.1 |
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Total Revenue |
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$ |
519.2 |
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$ |
325.2 |
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$ |
1,456.1 |
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$ |
1,100.8 |
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Third Quarter 2026
Revenue increased 60%, or $194.0 million, to $519.2 million driven by a $132.3 million increase in media rights, production and content revenue, a $36.0 million increase in live events and hospitality revenue, a $20.5 million increase in partnerships and marketing revenue, and a $5.2 million increase in consumer products licensing and other revenue. The increase in media rights, production and content revenue was primarily related to higher media rights fees, which reflected the impact of the new distribution agreement with Skydance that began in January 2026 as well as one additional Numbered Event and one additional Fight Night, compared to the prior year period. The increase in live events and hospitality revenue was due to an increase in ticket sales revenue, which reflected the record-setting performance of UFC 329 and two additional events, as well as higher financial incentive package revenue, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals as well as the benefit from two additional events, compared to the prior year period. The increase in consumer products licensing and other revenue was primarily due to higher royalties on UFC-branded products, including video games, compared to the prior year period.
Adjusted EBITDA increased 72%, or $119.7 million, to $285.3 million, due to the increase in revenue (as described above) partially offset by an increase in expenses. Direct operating costs reflected higher athlete, production and other event-related costs, which were largely driven by two additional events and the impact of UFC 329 which had a higher cost profile compared to other Numbered Events and aligns with the increased revenues from the event, compared to the prior year period. Selling, general and administrative expenses increased primarily due to higher personnel and travel costs compared to the prior year period.
Adjusted EBITDA margin increased to 55% from 51%.
3
WWE
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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WWE Revenue: |
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Media rights, production and content |
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$ |
255.8 |
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$ |
248.9 |
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$ |
897.2 |
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$ |
779.4 |
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Live events and hospitality |
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57.7 |
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82.5 |
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333.2 |
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344.5 |
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Partnerships and marketing |
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51.0 |
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39.9 |
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140.4 |
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123.8 |
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Consumer products licensing and other |
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34.8 |
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30.8 |
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125.1 |
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102.1 |
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Total Revenue |
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$ |
399.3 |
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$ |
402.1 |
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$ |
1,495.9 |
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$ |
1,349.8 |
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Third Quarter 2026
Revenue decreased 1%, or $2.8 million, to $399.3 million driven by a $24.8 million decrease in live events and hospitality revenue, partially offset by a $11.1 million increase in partnerships and marketing revenue, a $6.9 million increase in media rights, production and content revenue, and a $4.0 million increase in consumer products licensing and other revenue. The decrease in live events and hospitality revenue was primarily due to a decrease in ticket sales revenue related to the mix and timing of events including three fewer Main Roster Premium Live Events and lower sales for SummerSlam, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals despite three fewer Main Roster Premium Live Events, compared to the prior year period. The increase in media rights, production and content revenue was primarily related to higher media rights fees, notably the impact of the new distribution agreement with ESPN that began in September 2025, partially offset by the three fewer Main Roster Premium Live Events, compared to the prior year period. The increase in consumer products licensing and other revenue was primarily related to the sale of WWE-branded products, including video games and trading cards, compared to the prior year period.
Adjusted EBITDA increased 5%, or $9.4 million, to $217.2 million, due to a decrease in expenses partially offset by the decrease in revenue (as described above). Direct operating costs reflected lower production, talent, and other event-related costs, which were largely driven by three fewer Main Roster Premium Live Events, compared to the prior year period. Selling, general and administrative expenses decreased primarily due to lower personnel costs compared to the prior year period.
Adjusted EBITDA margin increased to 54% from 52%.
IMG
The IMG segment reflects the operations of the IMG business and On Location.
4
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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IMG Revenue: |
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Media rights, production and content |
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$ |
194.2 |
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$ |
185.1 |
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$ |
501.6 |
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$ |
509.8 |
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Live events and hospitality |
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149.6 |
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138.3 |
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815.8 |
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|
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558.9 |
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Partnerships and marketing |
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44.6 |
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10.3 |
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|
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69.6 |
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40.5 |
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Consumer products licensing and other |
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2.9 |
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3.0 |
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14.4 |
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10.4 |
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Total Revenue |
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$ |
391.3 |
|
|
$ |
336.7 |
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|
$ |
1,401.4 |
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$ |
1,119.6 |
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Third Quarter 2026
Revenue increased 16%, or $54.6 million, to $391.3 million primarily driven by a $34.3 million increase in partnerships and marketing revenue, an $11.3 million increase in live events and hospitality revenue, and a $9.1 million increase in media rights, production and content revenue. The increase in partnerships and marketing revenue was primarily related to new marketing deals at the IMG business for tennis and soccer, compared to the prior year period. The increase in live events and hospitality revenue was primarily related to FIFA World Cup 2026 hospitality sales at On Location, partially offset by the absence of the biennial Ryder Cup event at the IMG business, compared to the prior year period. The increase in media rights, production and content revenue related to the IMG business and primarily reflected new distribution deals for FIFA World Cup, tennis and soccer, compared to the prior year period.
Adjusted EBITDA increased 89%, or $54.5 million, to $115.9 million, primarily due to the increase in revenue (as described above) as expenses were essentially flat. Direct operating costs declined, primarily due to the absence of expenses related to the biennial Ryder Cup event, compared to the prior year period. Selling, general and administrative expenses increased primarily due to costs related to FIFA World Cup 2026 compared to the prior year period.
Adjusted EBITDA margin increased to 30% from 18%.
Corporate and Other
Corporate and Other reflects operations not allocated to the UFC, WWE, or IMG segments and primarily consists of general and administrative expenses, the operations of PBR, as well as management and promotional fees for services primarily related to boxing.
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Corporate and Other Revenue: |
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||||
Media rights, production and content |
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$ |
3.9 |
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$ |
9.8 |
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$ |
16.5 |
|
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$ |
17.8 |
|
Live events and hospitality |
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18.7 |
|
|
|
18.4 |
|
|
|
71.5 |
|
|
|
70.2 |
|
Partnerships and marketing |
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|
17.7 |
|
|
|
12.4 |
|
|
|
46.3 |
|
|
|
36.2 |
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Consumer products licensing and other |
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21.0 |
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|
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22.7 |
|
|
|
49.4 |
|
|
|
38.1 |
|
Total Revenue |
|
$ |
61.3 |
|
|
$ |
63.3 |
|
|
$ |
183.7 |
|
|
$ |
162.3 |
|
5
Third Quarter 2026
Revenue decreased 3%, or $2.0 million, to $61.3 million. The decrease was primarily related to a decrease in revenue related to the Company’s boxing initiatives due to a one-time benefit recognized in 2025 due to the initial vesting of the Company’s equity in Zuffa Boxing, partially offset by an increase in revenue at PBR, despite three fewer total events, compared to the prior year period.
Adjusted EBITDA was a loss of $62.7 million, an improvement of $11.9 million compared to a loss of $74.6 million in the prior year period. Results reflected a decrease in expenses partially offset by the decrease in revenue (as described above). Expenses primarily reflected lower event-related costs at PBR from holding fewer events due to a strategic review to remove non-core events compared to the prior year period.
Full Year 2026 Guidance
In February, the Company issued revenue and Adjusted EBITDA guidance of $5.675 billion to $5.775 billion and $2.240 billion to $2.290 billion, respectively, for the full year 2026. In August, the Company raised its revenue and Adjusted EBITDA guidance to $5.775 billion to $5.825 billion and $2.275 billion to $2.305 billion, respectively, for the full year 2026. Based on performance through the first nine months of the year and our visibility into and anticipated performance for the remainder of the year, the Company is raising its guidance and now expects full year 2026 revenue of $5.790 billion to $5.830 billion and Adjusted EBITDA of $2.295 billion to $2.315 billion.
The anticipated performance assumes that the Company stages all live events, including those in the Middle East region, as currently planned. The Company intends to provide additional detail related to its 2026 guidance on today’s earnings call.
Other Matters
Return of Capital Program
The Company announced that it intends to commence additional repurchases of its outstanding Class A common stock under its existing share repurchase program.
As previously disclosed, the Company’s board of directors has authorized the repurchase of up to $3 billion of outstanding Class A common stock. As of November 4, 2026, the Company has approximately $936.0 million available under its existing authorization. The Company expects to repurchase the balance of the existing authorization, which it intends to fund primarily from additional debt and cash on hand. The Company will determine at its discretion the timing and the amount of any repurchases based on its evaluation of market conditions, share price, and other factors.
On August 6, 2026, the Company entered into a Rule 10b5-1 trading plan for the repurchase of up to $200 million of its outstanding Class A Common Stock (the “August 10b5-1 Plan”). During the third quarter, the Company repurchased 451,377 shares under the August 10b5-1 Plan for approximately $85.5 million. From October 1, 2026 through the completion of the August 10b5-1 Plan on October 30, 2026, the Company repurchased 417,795 shares for approximately $73.4 million.
6
As previously disclosed, on July 1, 2026, the Company completed its accelerated share repurchase agreement (the “ASR Agreement”) to repurchase $800 million, or 4,167,298 shares, of its outstanding Class A common stock.
As previously disclosed, on May 11, 2026, the Company entered into a Rule 10b5-1 trading plan for the repurchase of up to $200 million of its outstanding Class A Common Stock (the “May 10b5-1 Plan”). From May 14, 2026 through July 22, 2026, the Company repurchased 1,022,434 shares for approximately $200.0 million.
On September 30, 2026, the Company paid a quarterly cash dividend to the holders of the Company’s Class A common stock based on their pro rata share of an aggregate distribution of approximately $150 million, or $0.79 per share, from TKO Operating Company, LLC.
Notes
7
Non-GAAP Financial Measures
The Company refers to certain financial measures that are not recognized under United States generally accepted accounting principles (“GAAP”). This press release includes financial measures that are not calculated in accordance with GAAP, including Adjusted EBITDA, Adjusted EBITDA margin, Free Cash Flow and Free Cash Flow Conversion. Please see the definitions below and the reconciliation tables included in this release for additional information and a reconciliation of the Non-GAAP financial measures to the most comparable GAAP financial measures.
The Company defines Adjusted EBITDA as net income excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger, acquisition and earnout costs, certain legal costs, restructuring, severance and impairment charges, foreign exchange (gains) losses, and certain other items when applicable. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by revenue.
TKO management believes that Adjusted EBITDA and Adjusted EBITDA margin are useful to investors as these measures eliminate the significant level of non-cash depreciation and amortization expense that results from its capital investments and intangible assets, and improve comparability by eliminating the significant level of interest expense associated with TKO’s debt facilities, as well as income taxes which may not be comparable with other companies based on TKO’s tax and corporate structure. Adjusted EBITDA and Adjusted EBITDA margin are used as the primary bases to evaluate TKO’s consolidated operating performance.
Adjusted EBITDA and Adjusted EBITDA margin have limitations as analytical tools, and you should not consider them in isolation or as a substitute for analysis of TKO’s results as reported under GAAP. Some of these limitations are:
TKO management compensates for these limitations by using Adjusted EBITDA and Adjusted EBITDA margin along with other comparative tools, together with GAAP measurements, to assist in the evaluation of TKO’s operating performance.
8
Adjusted EBITDA and Adjusted EBITDA margin should not be considered substitutes for the reported results prepared in accordance with GAAP and should not be considered in isolation or as alternatives to net income as indicators of TKO’s financial performance, as measures of discretionary cash available to it to invest in the growth of its business or as measures of cash that will be available to TKO to meet its obligations. Although TKO uses Adjusted EBITDA and Adjusted EBITDA margin as financial measures to assess the performance of its business, such use is limited because it does not include certain material costs necessary to operate TKO’s business. TKO’s presentation of Adjusted EBITDA and Adjusted EBITDA margin should not be construed as indications that its future results will be unaffected by unusual or nonrecurring items. These non-GAAP financial measures, as determined and presented by TKO, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of TKO’s most directly comparable financial measures calculated in accordance with GAAP to these non-GAAP financial measures on a consolidated basis.
The Company defines Free Cash Flow as net cash provided by operating activities less cash used for capital expenditures. TKO views net cash provided by operating activities as the most directly comparable GAAP measure. Free Cash Flow Conversion is defined as Free Cash Flow divided by Adjusted EBITDA. Although they are not recognized measures of liquidity under U.S. GAAP, Free Cash Flow and Free Cash Flow Conversion provide useful information regarding the amount of cash TKO’s continuing business generates after capital expenditures and is available for reinvesting in the business, debt service, share repurchases and payment of dividends. Free Cash Flow and Free Cash Flow Conversion have certain limitations in that they do not represent the total increase or decrease in the cash balance for the period, nor do they represent the residual cash flow for discretionary expenditures.
Reconciliations of the Company’s Non-GAAP financial measure guidance to the most directly comparable GAAP financial measures cannot be provided without unreasonable efforts and are not provided herein because of the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliations and certain other items reflected in our reconciliation of historical Non-GAAP financial measures, the amounts of which could be material.
Basis of Presentation
As a result of the February 28, 2025 closing of the Company’s agreement with Endeavor to acquire IMG, On Location, and PBR (the “Acquired Businesses”) in a common control transaction, TKO’s consolidated financial information presented herein reflect the combined results of TKO and the Acquired Businesses as if they had been part of TKO during the historical periods presented under common control.
TKO’s financial information presented herein for the periods that it did not own the Acquired Businesses were prepared by Endeavor Group Holdings, Inc. and include allocations for corporate expenses to the businesses based on Endeavor Group Holdings, Inc.’s corporate expense profile. These expenses consisted of certain support functions that were provided on a centralized basis, such as expenses related to finance, human resources, information technology, facilities, and legal, among others and were allocated to the Acquired Businesses. Endeavor Group Holdings, Inc. allocated these corporate expenses on a pro rata basis of headcount, gross profit, and other allocation methodologies. Corporate allocations were $21.7
9
million for the nine months ended September 30, 2025 representing allocations from January 1 through February 28, 2025. Under TKO ownership effective February 28, 2025, such corporate allocations no longer occur.
Effective February 28, 2025, the Company operates its business under three reportable segments, UFC, WWE, and IMG. The UFC and WWE segments consist entirely of the operations of these businesses, while the IMG segment consists entirely of the operations of IMG and On Location. In addition, the Company reports results for the “Corporate and Other” group, which includes the operations of PBR, management and promotional fees for services primarily related to boxing as well as general and administrative expenses that are not allocated to the business segments. These expenses largely relate to corporate activities, including information technology, facilities, legal, human resources, finance, accounting, treasury, investor relations, corporate communications, community relations and compensation to TKO’s management and board of directors, which support the reportable segments. All prior period amounts related to the segment change have been retrospectively reclassified to conform to the new presentation. The profitability measure employed by the Company in assessing operating performance, including that of its segments, is Adjusted EBITDA. The Company defines Adjusted EBITDA as net income, excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger, acquisition and earnout costs, certain legal costs, restructuring, severance and impairment charges, foreign exchange (gains) losses, and certain other items when applicable. Adjusted EBITDA includes amortization expenses directly related to supporting the operations of the Company’s segments, including content production asset amortization.
Additional Information
As previously announced, TKO will host a conference call at 5:00 p.m. ET on November 4, 2026, to discuss its third quarter 2026 results. All interested parties are welcome to listen to a live webcast that will be hosted through the Company’s website at investor.tkogrp.com. Participants can access the conference call by dialing 833-461-5787 (conference ID: 121866477). Please reserve a line 5-10 minutes prior to the start time of the conference call.
Any accompanying materials referenced during the call will be made available on November 4, 2026, at investor.tkogrp.com. A replay of the call will be available approximately two hours after the conference call concludes and can be accessed on the Company’s website.
About TKO
TKO Group Holdings, Inc. (NYSE: TKO) is a premium sports and entertainment company. TKO’s businesses include UFC, the world’s premier mixed martial arts organization; WWE, the global leader in sports entertainment; PBR, the world’s premier bull riding organization; and its joint venture Zuffa Boxing, a professional boxing promotion. Together, these properties reach more than 1 billion households across 210 countries and territories and organize more than 500 live events year-round, attracting more than three million fans. TKO also services and partners with major sports rights holders through IMG, an industry-leading global sports marketing agency; and On Location, a global leader in premium experiential hospitality.
10
Website Disclosure
Investors and others should note that TKO announces material financial and operational information to its investors using press releases, SEC filings and public conference calls and webcasts, as well as its Investor Relations site at investor.tkogrp.com. TKO may also use its website as a distribution channel of material information about the Company. In addition, you may automatically receive email alerts and other information about TKO when you enroll your email address by visiting the “Investor Email Alerts” option under the Resources tab on investor.tkogrp.com.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding TKO’s business strategy and plans, financial outlook, and underlying assumptions, anticipated tailwinds and industry trends, TKO’s capital return program, including the timing and amount of purchases thereunder and expected funding sources, trends in consumer demand, TKO’s growth and value creation prospects, TKO’s financial condition, and anticipated financial and operational performance. The words “believe,” “may,” “will,” “estimate,” “potential,” “continue,” “anticipate,” “intend,” “expect,” “could,” “would,” “project,” “plan,” “target,” and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to: TKO’s ability to generate revenue from discretionary and corporate spending on events; TKO’s dependence on key relationships with television and cable networks, satellite providers, digital streaming partners and other distribution partners; TKO’s ability to adapt to or manage new content distribution platforms or changes in consumer behavior; TKO’s success in its strategic acquisitions, investments and commercial agreements; adverse publicity concerning the Company or its key personnel; the highly competitive, rapidly changing and increasingly fragmented nature of the markets in which TKO operates; TKO’s dependence on the continued services of executive management and other key employees; changes in public and consumer tastes and preferences and industry trends; financial risks with owning and managing events for which TKO sells media and partnership and marketing rights, ticketing and hospitality; the Company’s substantial indebtedness; and other important factors discussed in the section entitled “Risk Factors” in TKO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed by TKO, as any such factors may be updated from time to time in TKO’s other filings with the SEC, accessible on the SEC’s website at www.sec.gov and TKO’s investor relations site at investor.tkogrp.com. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, TKO undertakes no obligation
11
to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
12
TKO Group Holdings, Inc.
Consolidated Income Statements
(In millions, except share and per share data)
(Unaudited)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||
|
|
September 30, |
|
|
September 30, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Revenue |
|
$ |
1,360.1 |
|
|
$ |
1,119.9 |
|
|
$ |
4,504.1 |
|
|
$ |
3,697.1 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Direct operating costs |
|
|
489.0 |
|
|
|
439.7 |
|
|
|
1,779.5 |
|
|
|
1,483.7 |
|
Selling, general and administrative expenses |
|
|
400.6 |
|
|
|
379.2 |
|
|
|
1,243.5 |
|
|
|
1,106.8 |
|
Depreciation and amortization |
|
|
93.0 |
|
|
|
129.1 |
|
|
|
335.3 |
|
|
|
329.0 |
|
Total operating expenses |
|
|
982.6 |
|
|
|
948.0 |
|
|
|
3,358.3 |
|
|
|
2,919.5 |
|
Operating income |
|
|
377.5 |
|
|
|
171.9 |
|
|
|
1,145.8 |
|
|
|
777.6 |
|
Other expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest expense, net |
|
|
(69.9 |
) |
|
|
(50.8 |
) |
|
|
(201.1 |
) |
|
|
(143.8 |
) |
Other income (expense), net |
|
|
9.6 |
|
|
|
(3.2 |
) |
|
|
16.2 |
|
|
|
(19.4 |
) |
Income before income taxes and equity earnings of affiliates |
|
|
317.2 |
|
|
|
117.9 |
|
|
|
960.9 |
|
|
|
614.4 |
|
Provision for income taxes |
|
|
36.6 |
|
|
|
12.7 |
|
|
|
123.8 |
|
|
|
80.4 |
|
Income before equity earnings of affiliates |
|
|
280.6 |
|
|
|
105.2 |
|
|
|
837.1 |
|
|
|
534.0 |
|
Equity (loss) earnings of affiliates, net of tax |
|
|
(2.7 |
) |
|
|
1.6 |
|
|
|
(5.5 |
) |
|
|
11.4 |
|
Net income |
|
|
277.9 |
|
|
|
106.8 |
|
|
|
831.6 |
|
|
|
545.4 |
|
Less: Net income attributable to non-controlling interests |
|
|
179.2 |
|
|
|
65.8 |
|
|
|
541.9 |
|
|
|
347.7 |
|
Net income attributable to TKO Group Holdings, Inc. |
|
$ |
98.7 |
|
|
$ |
41.0 |
|
|
$ |
289.7 |
|
|
$ |
197.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic net earnings per share of Class A common stock |
|
$ |
1.35 |
|
|
$ |
0.50 |
|
|
$ |
3.86 |
|
|
$ |
2.42 |
|
Diluted net earnings per share of Class A common stock |
|
$ |
1.33 |
|
|
$ |
0.47 |
|
|
$ |
3.80 |
|
|
$ |
2.33 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Weighted average number of common shares used in computing basic net earnings per share |
|
|
73,101,667 |
|
|
|
81,520,538 |
|
|
|
75,059,500 |
|
|
|
81,633,590 |
|
Weighted average number of common shares used in computing diluted net earnings per share |
|
|
74,152,562 |
|
|
|
199,061,830 |
|
|
|
192,308,492 |
|
|
|
193,368,167 |
|
13
TKO Group Holdings, Inc.
Consolidated Balance Sheets
(In millions)
(Unaudited)
|
|
As of |
|
|||||
|
|
September 30, |
|
|
December 31, |
|
||
|
|
2026 |
|
|
2025 |
|
||
Assets |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
630.9 |
|
|
$ |
831.1 |
|
Restricted cash |
|
|
958.8 |
|
|
|
354.9 |
|
Accounts receivable, net |
|
|
1,002.7 |
|
|
|
558.3 |
|
Deferred costs |
|
|
159.9 |
|
|
|
234.8 |
|
Other current assets |
|
|
423.8 |
|
|
|
350.0 |
|
Total current assets |
|
|
3,176.1 |
|
|
|
2,329.1 |
|
Property, buildings and equipment, net |
|
|
605.3 |
|
|
|
639.9 |
|
Intangible assets, net |
|
|
3,080.8 |
|
|
|
3,327.9 |
|
Finance lease right-of-use assets, net |
|
|
242.3 |
|
|
|
231.8 |
|
Operating lease right-of-use assets, net |
|
|
64.9 |
|
|
|
54.8 |
|
Goodwill |
|
|
8,444.6 |
|
|
|
8,444.9 |
|
Investments |
|
|
121.7 |
|
|
|
131.5 |
|
Other assets |
|
|
406.7 |
|
|
|
335.9 |
|
Total assets |
|
$ |
16,142.4 |
|
|
$ |
15,495.8 |
|
Liabilities, Non-controlling Interests and Stockholders' Equity |
|
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
241.3 |
|
|
$ |
194.8 |
|
Accrued liabilities |
|
|
581.3 |
|
|
|
526.3 |
|
Current portion of long-term debt |
|
|
45.4 |
|
|
|
38.1 |
|
Current portion of finance lease liabilities |
|
|
19.0 |
|
|
|
22.7 |
|
Current portion of operating lease liabilities |
|
|
16.9 |
|
|
|
17.6 |
|
Deferred revenue |
|
|
494.5 |
|
|
|
663.0 |
|
Other current liabilities |
|
|
956.0 |
|
|
|
384.6 |
|
Total current liabilities |
|
|
2,354.4 |
|
|
|
1,847.1 |
|
Long-term debt |
|
|
4,572.5 |
|
|
|
3,724.1 |
|
Long-term finance lease liabilities |
|
|
239.5 |
|
|
|
219.5 |
|
Long-term operating lease liabilities |
|
|
54.0 |
|
|
|
41.1 |
|
Deferred tax liabilities |
|
|
301.2 |
|
|
|
301.7 |
|
Other long-term liabilities |
|
|
337.3 |
|
|
|
112.2 |
|
Total liabilities |
|
|
7,858.9 |
|
|
|
6,245.7 |
|
Commitments and contingencies |
|
|
|
|
|
|
||
Redeemable non-controlling interests |
|
|
34.4 |
|
|
|
34.4 |
|
Stockholders' equity: |
|
|
|
|
|
|
||
Class A common stock |
|
|
— |
|
|
|
— |
|
Class B common stock |
|
|
— |
|
|
|
— |
|
Additional paid-in capital |
|
|
4,853.4 |
|
|
|
4,552.2 |
|
Accumulated other comprehensive loss |
|
|
(20.5 |
) |
|
|
(17.5 |
) |
Accumulated deficit |
|
|
(1,467.8 |
) |
|
|
(797.3 |
) |
Total TKO Group Holdings, Inc. stockholders’ equity |
|
|
3,365.1 |
|
|
|
3,737.4 |
|
Nonredeemable non-controlling interests |
|
|
4,884.0 |
|
|
|
5,478.3 |
|
Total stockholders' equity |
|
|
8,249.1 |
|
|
|
9,215.7 |
|
Total liabilities, redeemable non-controlling interests and stockholders' equity |
|
$ |
16,142.4 |
|
|
$ |
15,495.8 |
|
14
TKO Group Holdings, Inc.
Consolidated Statements of Cash Flows
(In millions)
(Unaudited)
|
|
Nine Months Ended |
|
|||||
|
|
September 30, |
|
|||||
|
|
2026 |
|
|
2025 |
|
||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
|
|
||
Net income |
|
$ |
831.6 |
|
|
$ |
545.4 |
|
Adjustments to reconcile net income to net cash |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
335.3 |
|
|
|
329.0 |
|
Amortization of content costs |
|
|
17.6 |
|
|
|
20.9 |
|
Impairment charges |
|
|
4.8 |
|
|
|
3.6 |
|
Amortization and write-off of original issue discount and deferred financing cost |
|
|
3.3 |
|
|
|
2.0 |
|
Loss on sale of assets |
|
|
— |
|
|
|
10.9 |
|
Equity-based compensation |
|
|
119.6 |
|
|
|
83.2 |
|
Income taxes |
|
|
30.0 |
|
|
|
47.8 |
|
Other, net |
|
|
5.4 |
|
|
|
0.8 |
|
Changes in operating assets and liabilities, net of acquisition: |
|
|
|
|
|
|
||
Accounts receivable |
|
|
(436.0 |
) |
|
|
(153.3 |
) |
Other current assets |
|
|
(38.8 |
) |
|
|
(40.3 |
) |
Other noncurrent assets |
|
|
(70.5 |
) |
|
|
(43.6 |
) |
Deferred costs |
|
|
61.3 |
|
|
|
(4.9 |
) |
Accounts payable, accrued liabilities and other current liabilities |
|
|
609.0 |
|
|
|
(28.8 |
) |
Deferred revenue |
|
|
65.2 |
|
|
|
79.7 |
|
Other liabilities |
|
|
2.8 |
|
|
|
123.4 |
|
Net cash provided by operating activities |
|
|
1,540.6 |
|
|
|
975.8 |
|
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
|
|
||
Purchases of property, buildings and equipment and other assets |
|
|
(66.6 |
) |
|
|
(66.5 |
) |
Investment in affiliates, net |
|
|
(4.0 |
) |
|
|
(16.2 |
) |
Acquisitions, net of cash acquired |
|
|
3.9 |
|
|
|
(8.7 |
) |
Proceeds from sale of property and equipment |
|
|
0.1 |
|
|
|
5.8 |
|
Proceeds from infrastructure improvement incentives |
|
|
0.4 |
|
|
|
10.4 |
|
Proceeds from sales of investments and other |
|
|
— |
|
|
|
1.5 |
|
Net cash used in investing activities |
|
|
(66.2 |
) |
|
|
(73.7 |
) |
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
||
Repayment of long-term debt |
|
|
(81.9 |
) |
|
|
(53.3 |
) |
Proceeds from borrowings |
|
|
929.9 |
|
|
|
1,018.0 |
|
Repurchase of Class A common stock |
|
|
(1,123.8 |
) |
|
|
(826.1 |
) |
Net transfers to parent |
|
|
— |
|
|
|
(122.5 |
) |
Contributions from parent |
|
|
— |
|
|
|
26.5 |
|
Distribution to members |
|
|
(580.9 |
) |
|
|
(313.8 |
) |
Dividends paid |
|
|
(175.0 |
) |
|
|
(124.5 |
) |
Payments for financing costs |
|
|
(14.8 |
) |
|
|
(3.3 |
) |
Taxes paid related to net settlement upon vesting of equity awards |
|
|
(17.5 |
) |
|
|
(10.8 |
) |
Distributions of non-controlling interests |
|
|
(2.0 |
) |
|
|
(0.1 |
) |
Net cash used in financing activities |
|
|
(1,066.0 |
) |
|
|
(409.9 |
) |
Effects of exchange rate movements on cash |
|
|
(4.7 |
) |
|
|
3.0 |
|
NET INCREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH |
|
|
403.7 |
|
|
|
495.2 |
|
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD |
|
|
1,186.0 |
|
|
|
678.1 |
|
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD |
|
$ |
1,589.7 |
|
|
$ |
1,173.3 |
|
SUPPLEMENTAL CASH FLOW INFORMATION: |
|
|
|
|
|
|
||
Cash paid for interest |
|
|
204.0 |
|
|
|
167.0 |
|
Cash payments for income taxes |
|
|
59.4 |
|
|
|
45.9 |
|
NON-CASH INVESTING AND FINANCING TRANSACTIONS: |
|
|
|
|
|
|
||
Capital expenditures included in current liabilities |
|
|
7.3 |
|
|
|
1.4 |
|
Capital contribution from parent |
|
|
1.8 |
|
|
|
50.4 |
|
Accretion of redeemable non-controlling interests |
|
|
6.5 |
|
|
|
5.9 |
|
Excise taxes on repurchases of common stock |
|
|
9.8 |
|
|
|
5.0 |
|
15
TKO Group Holdings, Inc.
Reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin
(In millions, except percentages)
(Unaudited)
|
|
Three Months Ended |
|
|
|
Nine Months Ended |
|
|
||||||||||||
|
|
September 30, |
|
|
|
September 30, |
|
|
||||||||||||
|
|
2026 |
|
2025 |
|
|
|
2026 |
|
2025 |
|
|
||||||||
Net income |
|
$ |
277.9 |
|
|
|
$ |
106.8 |
|
|
|
$ |
831.6 |
|
|
|
$ |
545.4 |
|
|
Provision for income taxes |
|
|
36.6 |
|
|
|
|
12.7 |
|
|
|
|
123.8 |
|
|
|
|
80.4 |
|
|
Interest expense, net |
|
|
69.9 |
|
|
|
|
50.8 |
|
|
|
|
201.1 |
|
|
|
|
143.8 |
|
|
Depreciation and amortization |
|
|
93.0 |
|
|
|
|
129.1 |
|
|
|
|
335.3 |
|
|
|
|
329.0 |
|
|
Equity-based compensation expense (1) |
|
|
39.6 |
|
|
|
|
19.9 |
|
|
|
|
119.6 |
|
|
|
|
83.2 |
|
|
Merger, acquisition and earnout costs (2) |
|
|
5.2 |
|
|
|
|
4.6 |
|
|
|
|
14.6 |
|
|
|
|
48.6 |
|
|
Certain legal costs (3) |
|
|
34.6 |
|
|
|
|
19.2 |
|
|
|
|
128.9 |
|
|
|
|
35.4 |
|
|
Restructuring, severance and impairment (4) |
|
|
6.4 |
|
|
|
|
5.0 |
|
|
|
|
7.5 |
|
|
|
|
10.8 |
|
|
Debt transaction costs (5) |
|
|
— |
|
|
|
|
8.7 |
|
|
|
|
2.5 |
|
|
|
|
8.7 |
|
|
Foreign exchange (gains) and losses (6) |
|
|
(3.9 |
) |
|
|
|
(2.2 |
) |
|
|
|
(6.5 |
) |
|
|
|
12.8 |
|
|
Other adjustments (7) |
|
|
(3.6 |
) |
|
|
|
5.6 |
|
|
|
|
(3.0 |
) |
|
|
|
6.0 |
|
|
Total Adjusted EBITDA |
|
$ |
555.7 |
|
|
|
$ |
360.2 |
|
|
|
$ |
1,755.4 |
|
|
|
$ |
1,304.1 |
|
|
Net income margin |
|
|
20 |
|
% |
|
|
10 |
|
% |
|
|
18 |
|
% |
|
|
15 |
|
% |
Adjusted EBITDA margin |
|
|
41 |
|
% |
|
|
32 |
|
% |
|
|
39 |
|
% |
|
|
35 |
|
% |
16
TKO Group Holdings, Inc.
Reconciliation of Free Cash Flow
(In millions)
(Unaudited)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||
|
|
September 30, |
|
|
September 30, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net cash provided by operating activities (1) |
|
$ |
472.1 |
|
|
$ |
416.8 |
|
|
$ |
1,540.6 |
|
|
$ |
975.8 |
|
Less cash used for capital expenditures: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Purchases of property, buildings and equipment and other assets |
|
|
(22.2 |
) |
|
|
(17.9 |
) |
|
|
(66.6 |
) |
|
|
(66.5 |
) |
Free Cash Flow |
|
$ |
449.9 |
|
|
$ |
398.9 |
|
|
$ |
1,474.0 |
|
|
$ |
909.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjusted EBITDA |
|
$ |
555.7 |
|
|
$ |
360.2 |
|
|
$ |
1,755.4 |
|
|
$ |
1,304.1 |
|
Free Cash Flow Conversion |
|
|
81 |
% |
|
|
111 |
% |
|
|
84 |
% |
|
|
70 |
% |
17
Exhibit 99.2
November 4, 2026
HISTORICAL FINANCIAL INFORMATION – BASIS OF PRESENTATION
TKO Transactions
On February 28, 2025, TKO Group Holdings, Inc. (“TKO” or the “Company”) completed the acquisition (the “Asset Acquisition”) of certain businesses operating under the IMG brand (“IMG”), On Location, and Professional Bull Riders (“PBR”) (collectively referred to as the “Acquired Businesses”).
On September 12, 2023, World Wrestling Entertainment, Inc. (“WWE”) and Endeavor Group Holdings, Inc. consummated the combination of the Ultimate Fighting Championship (“UFC”) and WWE businesses under the newly formed company, TKO (referred to as the “TKO Business Combination”).
Basis of Presentation and Purpose of Historical Financial Information
TKO’s February 28, 2025 acquisition of the Acquired Businesses was treated as a merger of entities under common control. As a result of the common control acquisition, the net assets of the Acquired Businesses were combined with those of TKO at their historical carrying amounts, and the financial information herein has been retrospectively recast on a combined basis for all historical periods prior to February 28, 2025, because they were under common control for all periods presented herein.
The presentation of the historical information provided herein for WWE for periods prior to October 1, 2023 is for illustrative purposes only and is intended to facilitate an understanding of WWE’s historical operating results prior to the consummation of the TKO Business Combination.
The financial information provided herein is not indicative of the results of operations that would have been achieved if the Asset Acquisition or the TKO Business Combination had occurred on January 1, 2023, nor is it indicative of future results of TKO.
Reporting Segments
In conjunction with the Asset Acquisition, the Company evaluated its segment presentation and, beginning with the fiscal period as of and for the quarter ended March 31, 2025, the Company reports under three business segments (UFC, WWE, and IMG). In addition, the Company reports results for the “Corporate and Other” group.
UFC
The UFC segment reflects the business operations of UFC, a premium global sports brand and media content company. Revenue principally consists of media rights fees associated with the distribution of its programming content; ticket sales and financial incentive packages associated with the business’s global live events; partnerships and marketing; and consumer product licensing agreements of UFC-branded products.
WWE
The WWE segment reflects the business operations of WWE, an integrated media and sports entertainment company. Revenue principally consists of media rights fees associated with the distribution of its programming content; ticket sales and financial incentive packages associated with the business’s global live events; partnerships and marketing; and consumer product licensing agreements of WWE-branded products.
IMG
The IMG segment reflects the business operations of the IMG business and On Location. The IMG business is an independent global distributor of sports programming selling media rights on behalf of rights holders and is a producer of sports programming, responsible for content on behalf of sports federations, associations and events. On Location is a premium experiential hospitality business, offering ticketing, curated guest experiences, live event production and travel management services across sports and entertainment. Revenue principally consists of media rights sales, commissions, production services and studio fees; ticket and premium experience sales; and partnerships and marketing.
Corporate and Other
Corporate and Other reflects operations not allocated to the UFC, WWE, or IMG segments and primarily consists of general and administrative expenses as well as operations of PBR and boxing. The general and administrative expenses largely relate to corporate activities, including information technology, facilities, legal, human resources, finance, accounting, treasury, investor relations, corporate communications, community relations and compensation of TKO’s management and board of directors, which support all reportable segments. Revenue from our Corporate and Other group principally consists of media rights fees associated with the distribution of PBR's programming content; ticket sales and financial incentive packages associated with live events; partnerships and marketing; and consumer product licensing agreements of PBR-branded products. Revenue also consists of management and promotional fees for services primarily related to boxing.
Rounding
Information presented herein may not sum down or across due to minor rounding differences.
1
TKO Group Holdings, Inc.(1)
REVENUES – BUSINESS SEGMENT DETAIL
($ in millions; Unaudited)
|
|
2025 |
|
|
2026 |
|
|
|
|
||||||||||||||
|
|
Q1 |
|
Q2 |
|
Q3 |
|
Q4 |
|
|
Q1 |
|
Q2 |
|
Q3 |
|
|
2023 (2) |
|
2024 |
|
2025 |
|
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
UFC |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Media rights, production and content |
|
$224.1 |
|
$260.5 |
|
$200.5 |
|
$222.6 |
|
|
$275.3 |
|
$325.2 |
|
$332.8 |
|
|
$870.6 |
|
$879.4 |
|
$907.7 |
|
Live events and hospitality |
|
58.6 |
|
58.5 |
|
43.6 |
|
72.2 |
|
|
48.5 |
|
47.8 |
|
79.6 |
|
|
167.9 |
|
220.4 |
|
232.9 |
|
Partnerships and marketing |
|
64.3 |
|
85.8 |
|
70.8 |
|
93.4 |
|
|
67.1 |
|
144.8 |
|
91.3 |
|
|
196.3 |
|
251.4 |
|
314.3 |
|
Consumer product licensing and other |
|
12.7 |
|
11.1 |
|
10.3 |
|
13.2 |
|
|
10.3 |
|
17.9 |
|
15.5 |
|
|
57.4 |
|
55.0 |
|
47.3 |
|
Total UFC |
|
$359.7 |
|
$415.9 |
|
$325.2 |
|
$401.4 |
|
|
$401.2 |
|
$535.7 |
|
$519.2 |
|
|
$1,292.2 |
|
$1,406.2 |
|
$1,502.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WWE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Media rights, production and content |
|
$251.6 |
|
$278.9 |
|
$248.9 |
|
$221.2 |
|
|
$281.7 |
|
$359.7 |
|
$255.8 |
|
|
$882.9 |
|
$865.5 |
|
$1,000.6 |
|
Live events and hospitality |
|
76.3 |
|
185.7 |
|
82.5 |
|
68.3 |
|
|
123.5 |
|
152.0 |
|
57.7 |
|
|
262.4 |
|
338.5 |
|
412.8 |
|
Partnerships and marketing |
|
25.6 |
|
58.3 |
|
39.9 |
|
35.8 |
|
|
26.2 |
|
63.2 |
|
51.0 |
|
|
69.3 |
|
83.0 |
|
159.6 |
|
Consumer product licensing and other |
|
38.0 |
|
33.3 |
|
30.8 |
|
34.3 |
|
|
44.3 |
|
46.0 |
|
34.8 |
|
|
111.8 |
|
111.1 |
|
136.4 |
|
Total WWE |
|
$391.5 |
|
$556.2 |
|
$402.1 |
|
$359.6 |
|
|
$475.7 |
|
$620.9 |
|
$399.3 |
|
|
$1,326.4 |
|
$1,398.1 |
|
$1,709.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IMG |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Media rights, production and content |
|
$161.3 |
|
$163.4 |
|
$185.1 |
|
$163.0 |
|
|
$160.2 |
|
$147.2 |
|
$194.2 |
|
|
$692.2 |
|
$721.2 |
|
$672.8 |
|
Live events and hospitality |
|
288.5 |
|
132.1 |
|
138.3 |
|
52.4 |
|
|
467.7 |
|
198.5 |
|
149.6 |
|
|
650.6 |
|
1,156.8 |
|
611.3 |
|
Partnerships and marketing |
|
22.3 |
|
7.9 |
|
10.3 |
|
28.5 |
|
|
21.5 |
|
3.5 |
|
44.6 |
|
|
79.1 |
|
73.3 |
|
69.0 |
|
Consumer product licensing and other |
|
4.2 |
|
3.2 |
|
3.0 |
|
3.8 |
|
|
6.0 |
|
5.5 |
|
2.9 |
|
|
15.2 |
|
18.9 |
|
14.2 |
|
Total IMG |
|
$476.3 |
|
$306.6 |
|
$336.7 |
|
$247.7 |
|
|
$655.4 |
|
$354.7 |
|
$391.3 |
|
|
$1,437.1 |
|
$1,970.2 |
|
$1,367.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate & other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Media rights, production and content |
|
$3.3 |
|
$4.7 |
|
$9.8 |
|
$6.3 |
|
|
$8.9 |
|
$3.7 |
|
$3.9 |
|
|
$15.9 |
|
$32.3 |
|
$24.1 |
|
Live events and hospitality |
|
33.4 |
|
18.4 |
|
18.4 |
|
12.3 |
|
|
33.0 |
|
19.8 |
|
18.7 |
|
|
81.5 |
|
75.3 |
|
82.5 |
|
Partnerships and marketing |
|
12.1 |
|
11.7 |
|
12.4 |
|
9.4 |
|
|
16.3 |
|
12.3 |
|
17.7 |
|
|
26.4 |
|
37.2 |
|
45.6 |
|
Consumer product licensing and other |
|
5.6 |
|
9.8 |
|
22.7 |
|
8.8 |
|
|
15.7 |
|
12.7 |
|
21.0 |
|
|
8.2 |
|
25.5 |
|
46.9 |
|
Total Corporate & other |
|
$54.4 |
|
$44.6 |
|
$63.3 |
|
$36.8 |
|
|
$73.9 |
|
$48.5 |
|
$61.3 |
|
|
$132.0 |
|
$170.3 |
|
$199.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Eliminations |
|
(13.1) |
|
(14.9) |
|
(7.4) |
|
(7.4) |
|
|
(9.3) |
|
(12.7) |
|
(11.0) |
|
|
(19.3) |
|
(60.6) |
|
(42.8) |
|
Total TKO |
|
$1,268.8 |
|
$1,308.4 |
|
$1,119.9 |
|
$1,038.1 |
|
|
$1,596.9 |
|
$1,547.1 |
|
$1,360.1 |
|
|
|
|
$4,884.2 |
|
$4,735.2 |
|
2
TKO Group Holdings, Inc.(1)
ADJUSTED EBITDA – SEGMENT DETAIL
($ in millions; Unaudited)
|
|
2025 |
|
|
2026 |
|
|
|
|
||||||||||||||
|
|
Q1 |
|
Q2 |
|
Q3 |
|
Q4 |
|
|
Q1 |
|
Q2 |
|
Q3 |
|
|
2023 (2) |
|
2024 |
|
2025 |
|
Adjusted EBITDA (3): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
UFC |
|
$227.4 |
|
$244.8 |
|
$165.6 |
|
$213.2 |
|
|
$254.5 |
|
$280.4 |
|
$285.3 |
|
|
$755.7 |
|
$801.0 |
|
$851.0 |
|
WWE |
|
193.9 |
|
329.8 |
|
207.8 |
|
165.0 |
|
|
256.1 |
|
368.3 |
|
217.2 |
|
|
533.1 |
|
681.1 |
|
896.5 |
|
IMG |
|
73.5 |
|
29.0 |
|
61.4 |
|
(3.9) |
|
|
97.3 |
|
78.6 |
|
115.9 |
|
|
121.1 |
|
(48.0) |
|
160.0 |
|
Corporate & other |
|
(77.4) |
|
(77.1) |
|
(74.6) |
|
(93.1) |
|
|
(58.1) |
|
(77.4) |
|
(62.7) |
|
|
(278.7) |
|
(352.2) |
|
(322.2) |
|
Total TKO |
|
$417.4 |
|
$526.5 |
|
$360.2 |
|
$281.2 |
|
|
$549.8 |
|
$649.9 |
|
$555.7 |
|
|
|
|
$1,081.9 |
|
$1,585.3 |
|
3
TKO Group Holdings, Inc.
NET LEVERAGE
($ in millions; Unaudited)
We present net leverage and net debt, which are not recognized financial measures under GAAP, because we believe it assists investors and analysts in monitoring our leverage and evaluating the balance sheet. Net leverage and net debt should not be considered as alternatives to cash and cash equivalents and debt. We define “net debt” as total debt principal net of cash and cash equivalents. We define “net leverage” as net debt divided by Adjusted EBITDA.
The following is a reconciliation of net debt and net leverage to the most directly comparable GAAP financial measure for the period presented. A reconciliation of Adjusted EBITDA to the most directly comparable GAAP financial measure is available in our earnings release issued on November 4, 2026.
|
As of |
|
|
|
September 30, |
|
|
|
2026 |
|
|
Total debt (1) |
$ |
4,646.6 |
|
Less: Cash and cash equivalents |
|
630.9 |
|
Net Debt |
$ |
4,015.7 |
|
|
|
|
|
Adjusted EBITDA (2) |
$ |
2,036.6 |
|
|
|
|
|
Net Leverage |
|
2.0 |
x |
|
|
|
|
Notes: |
|
||
(1) Represents principal debt outstanding. |
|
||
|
|
|
|
(2) Represents Adjusted EBITDA for the trailing twelve month period. |
|
||
4